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Secretariat MMTA

SMS Disruption – MMTA Concerned, Spearheads Critical Awareness Alert


The MMTA has called on MCMC to extend exemption on URL ban in SMS for credible firms arguing that while consumer protection is crucial, the SMS disruption could severely disrupt legitimate business communications and indirectly lead to economic uncertainty


KUALA LUMPUR — The Malaysia Mobile Technology Association (MMTA), which represents the majority of SMS service providers, is spearheading a critical awareness exercise towards the potential SMS disruption on 01 Sept 2024.


The Association has urged the Malaysian Communications and Multimedia Commission (MCMC) to extend an exemption granted to certain entities from a ban on sending web addresses, also known as URLs, via SMS.


The Malaysia Mobile Technology Association (MMTA) said the ban has been in force since May 2023 in the MCMC’s attempt to curb scams via text message.


“These deceptive schemes are carried out through many channels; including through SMS and instant messaging platforms such as WhatsApp, Facebook Messenger, iMessage on Apple devices, and Rich Communication Services (RCS) on Google devices, including 5G Messaging and Advanced Messaging,” MMTA said in a statement.


SMS Disruption Due to Scams


In recent years, scams have predominantly been transmitted via SIM cards in the form of Person-to-Person (P2P) messages. However, the Malaysian Communications & Multimedia Commission (MCMC) took decisive action by directing service providers to filter and block “Prohibited Contents” in P2P SMS messages starting May 2023. This prohibition includes harmful Uniform Resource Locator (URL), call-back numbers, and requests for sensitive information—common tactics used in fraudulent schemes.


Previously, an exemption allowed Enterprise SMS (Application-to-Peer or A2P) messages from legitimate entities like government agencies, financial institutions, and corporations to bypass these restrictions, subject to their brand name and short code being approved by MCMC. However, MCMC has recently announced that as of 01 Sept 2024, this exemption will be revoked. Service providers will now be required to block Prohibited Content in all Enterprise SMS (A2P) messages entirely.


Concerns Over Content Restrictions


MMTA has expressed concerns about upcoming Content Prohibition by MCMC, which will prohibit URLs, call-back numbers, and requests for information would drastically disrupt legitimate business communications to member of the public. MMTA argues that while consumer protection is crucial, these sweeping restrictions could severely disrupt legitimate business communications and indirectly leading to economic uncertainty.

Many organisations, including government agencies, financial institutions, and mobile operators, rely heavily on URLs within SMS to provide essential services and information.


Examples of commonly URLs in SMS messages are:


  • Delivery of e-statements & e-invoices

  • Mission critical / monitoring system status and alerts

  • Confirmation of client appointments/registration/changes

  • Real-time logistic tracking for deliveries

  • Survey for after-sales and service review

  • Password reset links / Authentications

  • Confirmation of Campaign/initiative/Terms & Conditions & many more


Feedback from one of the many end-users, Mr. Alex Guidice from Apple, Inc. has encapsulated the key concerns for the parties effected by this restrictions. Mr. Alex shared that Apple uses URLs within SMS globally; including Malaysia and essential for delivering a superior customer experience, providing clear and concise information, and ensuring timely support.


Mr. Alex has also personally written to MCMC and appealed for MCMC to reconsider this prohibition which will block all SMS containing URL links (regardless if its legitimate). He stressed that this prohibition will create a massive disruption towards the existing SMS eco-system and affecting both the businesses and general public.


Decline in SMS Scams and Shift to New Platforms


Recent data shows that these controls have significantly reduced SMS scams, with complaints dropping from 4,121 in 2019 to 498 in 2023, a 63% decrease. Complaints about SMS scams fell sharply from 58 in Q1 2023 to just 9 in Q4 2023.


However, scammers are now moving to instant messaging platforms like WhatsApp, iMessage, voice calls, and social media. These platforms are being used for phishing and malware attacks, causing considerable financial losses to members of the public. Scammers are also using fake Base Transceiver Stations (BTS); a device  which is able to send SMS illegally by “hacking” legitimate mobile operator’s network. The fake BTS able to target handsets nearby and send scam messages containing malicious URL to solicit personal/banking information.


The MMTA’s  proactive stance aims to enhance the security and integrity of SMS communications across Malaysia, reinforcing its commitment to combating the evolving threat of digital scams, but strongly believes that blocking “Prohibited Contents” within SMS unlikely to impair scammers whom are now using other digital channels such as fake BTS, instant messaging, emails, social media, fake QR Codes and etc.


MMTA aims to educate the public on how to identify and avoid messaging scams, urging vigilance towards unsolicited messages. Scammers often impersonate legitimate entities to steal personal information. Always verify the source of any message before responding and never share sensitive details like your NRIC, bank/credit card information, or home address in response to unsolicited requests.


If you suspect a scam, report it to the National Scam Response Centre (NSRC) hotline at 997 or contact the Commercial Crime Investigation Department (CCID) via WhatsApp at 013-2111222.


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Call for a Balanced Approach and Sustainable Solutions


The MMTA has proposed alternative solutions to the MCMC, including a phased enforcement approach and the development of advanced filtering solutions to differentiate between legitimate and harmful content. The Association has also requested a delay in the directive’s implementation to give the industry adequate time to deploy and adapt.

Shawn Ng, President of MMTA, stated, “We hope the MCMC will collaborate with industry stakeholders to find a balanced approach that protects consumers while allowing businesses to continue delivering essential services. Our goal is to ensure that efforts to combat scams do not impede the growth and innovation of Malaysia’s mobile messaging sector, which contributes over RM500 million annually to the Malaysia Madani Economy.”


Appeal for Extension of Exemption


The MMTA respectfully requests that MCMC extend the exemption for Prohibited Content in A2P SMS beyond the 01 September 2024 deadline. The Association believes a balanced approach can protect consumers from scams while maintaining the effectiveness of SMS as a vital communication tool. – NMH


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